UAE - Mubasher: Abu Dhabi National Oil Company (ADNOC) and chemical producer OCI have intended to offer 13.8% of shares in their joint venture Fertiglobe in the initial public offering (IPO) to list its shares for trading on the Abu Dhabi Securities Exchange (ADX).

Abu Dhabi-based Fertiglobe, a 58:42 partnership between OCI and ADNOC, is expected to list its shares on the ADX in late October 2021, subject to market conditions and regulatory approvals in the UAE, according to a recent press release.

Following the IPO, OCI would indirectly hold a majority of Fertiglobe’s share capital, while ADNOC would indirectly own at least 36.2% of the share capital.

Open to all residents of the UAE and local and international institutional investors, the offering will be the first listing of a free zone company onshore in the UAE.

The UAE Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO and Fertiglobe Chairman, Sultan Ahmed Al Jaber, said: "Fertiglobe offers a unique investment opportunity to access an increasingly critical global sector, while also benefiting from emerging opportunities in the low-carbon ammonia value chain and the hydrogen economy."

The Executive Chairman of OCI NV and Vice Chairman of Fertiglobe, Nassef Sawiris, commented: "As a pure play nitrogen company and an early mover in clean ammonia, it enhances the visibility of Fertiglobe in the marketplace including its financial performance attributes that support a robust dividend capacity, commercial positioning, and unlocking of various strategic avenues of growth."